Investors took off on Tuesday where they emerged ahead of a three-day U.S. week on Friday, with sharp fall in tech stocks putting pressure on key benchmarks.
President Donald Trump’s remarks on Monday increased market litter by threatening to “deactivate” the US economy from China, analysts said.
What are the key indicators doing?
Dow Jones Industrial Average DJIA,
453.88 points or 1.6% to 27,679.43 while the S&P 500 SPX,
.41.44 points or 2.1% to 35,35355..56. Nasdaq Composite COMP,
349.18 points or 3.1% to 10,963.95. US markets were closed on Monday for Labor Day.
The tech-heavy Nasdaq Composite fell 3.%% last week to end at 11,313.13 on Friday, its biggest weekly decline since March. The Dow Jones Industrial Average lost 1.8% last week, ending at 28,133.31, while the S&P 500 fell 2.3% to 3,426.96 – the biggest weekly fall in that index since June.
What’s going on in the market?
The main U.S. stock index fell last week, while the Nasdaq rebounded, having previously been hit hard by selling shares of Highflying Technology.
Read:Here’s why the Dow sank last week and what’s next in the stocks
The Nasdaq reversal, which previously advanced to the all-time highs, was managed by Apple Pal Inc. Was performed by Falls for its highest flying components, including the AAPL.
Facebook Inc. FB,
Microsoft Microsoft Ft Corp. MSFT,
And Amazon.com Inc. AMZN,
And Google Parent Alphabet Inc. Google,
Google,
Concerns have been growing that rapid gains for the sector have ultimately put too much pressure on sustaining valuations.
See:Analysts who called for a closed rally at the bottom of March said the only way to sharply higher the stock market was to bubble in the late 1920s and late 1990s.
Trump’s remarks at the Labor Day news conference leave futures under pressure, analysts said.
“We will make America one of the world’s superpowers and we will end our dependence on China once and for all, whether it is displacing it or imposing a massive tariff, as I am already doing. “We will end our dependence on China, because we can’t trust China,” Trump said.
China, meanwhile, said on Tuesday it would launch an initiative of its own to set global standards on data security, which is believed to be an attempt to counter U.S. efforts to isolate its networks from Chinese technology.
Trump’s remarks clearly caused a stir in the markets, which the U.S. Tensions between the two economic superpowers are likely to rise as his election approaches. “Growing conflict will hurt the U.S. high-tech sector the most. China is already saying that it will try to rely less on U.S. technological know-how, so it has its own chip design and manufacturing. Will try to build business. “
In the news of the coronavirus epidemic, a group of chief executives of nine drug companies said on Tuesday that they had signed a resolution to make the safety and well-being of vaccinated individuals the first priority in developing the first Covid-19 vaccine.
Which companies are the focus?
- Shares of Tesla Inc.
TSLA,
-12.67% ,
A Nasdaq-100 NDX,
-2.09%
After the rebalancing of the S&P 500 by the S&P Dow Jones index on Friday, the component fell more than 15% and the electric car maker fell to US. The stock market left unexpectedly outside the benchmark. - Saw rebalancing Catlant Inc.. CTLT,
+ 1.28% ,
Etsy Inc.
ETSY,
+ 4.88%
And Teradine Inc.
TER,
-0.85%
Added to the index. - Shares of Nicola Corp.. NKLA,
+ 38.67%
Electric vehicle manufacturer and then increased by 28% General Motors Co. Announced that they have entered into a strategic partnership that will start with the company’s planned complete electric and hydrogen fuel cell electric pickup truck, the Nicola Badger, and include cost reductions for other models. GM shares rose 5%. - Shares of Boeing Co.
B.A.
-4.21%
The Wall Street Journal reports that production problems at the 787 Dreamliner factory prompted air-safety regulators to review quality-control flaws, which could last nearly a decade.
How is trading in other markets?
Yield on 10-year Treasury note TMUBMUSD10Y,
TMUBMUSD10Y,
4.1 basis points fell 0.679%. Bond prices move upside down.
ICE US Dollar Index DXY,
Which tracked Greenback’s performance against its main rivals, up 0.7%.
Gold Futures GCZ20,
Closed at 9,919.60 per 0.8% off. US Crude Oil Benchmark Futures CL.1,
On persistent concerns over the outlook for demand, more than 6%, fell sharply.
Stoxx Europe 600 Index SXXXP,
1.8%, while the UK benchmark FTSE UKX,
Lost 0.8%. In Asia, Hong Kong’s Hang Seng Index HSI,
0.1%, while Japan’s Nikkei NIK,
Increased 0.8%.
.
